Design Buy Build Issue 33 2018 | Page 5

Industry News NFB urges the Government for a fair procurement process The Treasury has reportedly decided to end the Private Funding Initiative (PFI) on the Midland Metropolitan Hospital following Carillion’s collapse. The European Investment Bank, Credit Agricole, KfW IPEX, DZ Bank and Sumitomo Mitsui were also part-funding it. It is understood that the Government is now exploring the possibility of putting a revised PFI deal together to complete the outstanding work on the hospital and is going to market to discuss this option. If a new PFI deal cannot be agreed, it will most likely be completed as a government-procured construction job. A report by the National Audit Office into the contractor’s collapse said that the firm lost around £48 million on the job in 2017. Neil Walters, national chair of the National Federation of Builders, said: “Change doesn’t just happen, you have to make it happen. The Government has said it wants to learn the lessons from Carillion, but appears – yet again – to be using exactly the same procurement method for a quick fix. There are more efficient methods of procurement than PFI available now, that are a better use of taxpayers’ money, and we don’t need to wait for the ink to have dried on the investigations into Carillion to implement them.” Latest Construction Output Data Raises Questions Over Industry Strength In 2007, the NFB, was one of the first organisations to take issue with how the Government’s approach to procurement and frameworks put SMEs at a distinct disadvantage. A disproportionately onerous administrative bidding process costs thousands, even tens of thousands of pounds, win or lose. Some of our members report spending up to 30 days each year on bidding for work. We do have mechanisms in place which have levelled the playing field. Housebuilders must belong to New Homes Ombudsman, say Parliamentarians ONS figures published today show that construction output increased 0.5% month-on-month in April. Calls for mandatory scheme membership Output was, however, 3.3% lower compared to April 2017, and on a rolling three-month basis contracted by 3.4%, the largest fall since August 2012. Alongside this, new orders in Q1 fell 4.6% quarter-on-quarter and 6.6% in annual terms. A cross-party group of Parliamentarians has set out proposals for a New Homes Ombudsman to help provide better redress for dissatisfied home buyers. Take A Chance On Mees Energy efficiency has always been high on our agenda in the building controls sector but now set to quickly rise up the priority list. Many of you are already aware of the recent introduction of the Minimum Energy Efficiency Standard (MEES) that came into full effect on 1stApril 2018. Simply put, this new standard has made it unlawful for a landlord to let or renew a lease on a property if the Energy Performance Certificate (EPC) rating is F or G – it’s as simple as that. This has raised many discussions and concerns in the building controls industry over the past few months… 5 In its report, published on June 26, the All- Party Parliamentary Group for Excellence in the Built Environment calls on the government to make it mandatory for all housebuilders to belong to an independent ombudsman scheme. The report, Better redress for homebuyers, says that a New Homes Ombudsman should be independent, free to consumers and provide a quick resolution to disputes. The report also recommends that government, warranty providers, housebuilders and consumer group’s work together to draw up a code of practice which would be used by the New Homes Ombudsman to adjudicate on disputes.